Estonia’s dairy exports to China are relatively low, which means that the introduction of new tariffs by China on EU dairy products will only have an indirect impact Estonian companies.

The new Chinese tariffs apply to cream with a fat content of over 10 percent, fresh cheese, grated cheese, processed cheese, blue cheese and regular cheese.

“These products are not exported directly from Estonia to China, however whey powder is exported from Estonia to China. Therefore, the impact of Chinese tariffs on the Estonian dairy sector will be indirect,” said Kristel Maidre, head of the agricultural policy department at the Ministry of Regional Affairs and Agriculture.

“The list of products also includes cheese, which accounts for almost 49 percent of the total value of Estonian dairy exports. The main destination countries are Italy, Germany and the Netherlands. If Chinese tariffs affect the dairy exports of those countries, then our exports to these countries may also decline,” Maidre added.

According to Statistics Estonia, Estonian companies exported €3 million-worth of whey powder to China last year and have exported €1.4 million-worth so far this year.

Of the product groups now subject to Chinese customs duties, Estonia exported a total of €22.6 million-worth of cream with a fat content of more than 10 percent last year, fresh cheese worth €42 million, grated cheese worth €22.8 million, processed cheese worth €1.4 million, blue cheese worth €0.5 million and regular cheese worth €122 million.

On Tuesday, the Chinese Ministry of Commerce announced it would impose tariffs on EU dairy imports following an investigation, which it says found evidence subsidies were harming Chinese producers.

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